Natixis sees little impact from IKB problems

(Reuters) - By Sudip Kar-Gupta



PARIS, Aug 6 - French bank Natixis said on Monday that current problems in the U.S. subprime mortgage sector would have a limited impact on the group, whose shares have slumped on fears over its subprime exposure.


Read more at Reuters.com Bonds News

Treasuries Fall on Speculation Yields Near Three-Month Low to Deter Buyers

(Bloomberg) -- Treasuries fell on speculation yields
near the lowest in three months overstated concern that the
weakness in the U.S. subprime mortgage market will spread.

The yield on the benchmark 10-year note rose 2 basis points,
or 0.02 percentage point, to 4.7 percent at 7:01 a.m. in London,
according to bond broker Cantor Fitzgerald LP. The price of the
4 1/2 percent notes due May 2017 fell 1/8, or $1.25 per $1,000
face amount, to 98 15/32.


Read more at Bloomberg Bonds News

Malaysia's Proton says studying Egypt car assembly

(Reuters) - Malaysian state carmaker Proton Holdings is studying plans to assemble cars in Egypt to help expand export sales, managing director Syed Zainal Abidin Syed Mohamed Tahir said on Monday.

"So from Egypt -- we plan to use that as a base to enter the African continent and the Middle East," he said.


Read more at Reuters Africa

Fortis has other options to fund ABN deal -report

(Reuters) - If Fortis shareholders do not approve the issue of shares,
Fortis could place shares with a friendly investor or sell some
businesses, Dutch daily Het Financieele Dagblad reported, citing
sources familiar with the bank.




A Fortis spokeswoman said the company would focus on
getting shareholder approval, but declined further comment.


Read more at Reuters.com Mergers News

India's Local Bond Rating to Be Kept at Non-Investment Grade, Moody's Says

(Bloomberg) -- India's local currency bonds will
keep a non-investment rating as the government isn't reducing
its budget deficit fast enough, Moody's Investors Service said.

The rating ``remains constrained'' at Ba2, two notches
below investment grade and the same level as Armenia and Jamaica,
as state debt equal to three-quarters of the economy ``leaves
public finances vulnerable,'' Moody's lead sovereign analyst for
India, Aninda Mitra, said in an e-mail to Bloomberg News.


Read more at Bloomberg Emerging Markets News

Natixis says sees little impact from IKB problems

(Reuters) - Natixis has a 2.5 percent stake in IKB and its shares fell
nearly 10 percent on Friday on fears over its exposure to the
U.S subprime mortgage sector.




Natixis said it had significantly reduced its exposure to
the U.S. subprime market since the start of 2007 and added that
its first half results due on August 30 would confirm the
company's "positive outlook".


Read more at Reuters.com Bonds News

Amazon leads investment in music site AmieStreet

(Reuters) - Started last October by three Brown University graduates, AmieStreet allows musicians to post songs with a variable pricing model, which is different from the one-price model used by Apple Inc.'s popular iTunes Music Store.




A new song on AmieStreet.com is initially priced at zero cents. The song is automatically given a starting price after users begin to download the song. The price rises gradually with popularity, to a maximum of 98 cents.


Read more at Reuters.com Business News

Asia-Pacific Corporate Bond Risk Increases on Subprime, Default Swaps Show

(Bloomberg) -- The risk of owning corporate bonds in
the Asia-Pacific region rose on concerns that losses tied to the
U.S. subprime mortgage market will widen.

The cost of default protection, measured by credit-default
swaps, increased in Australia and Japan, approaching the highest
in more than three years. Similar contracts tied to U.S. and
European corporate bonds rose on Aug. 3 after Bear Stearns Cos.,
the manager of two hedge funds that collapsed last month, had
its debt-rating outlook cut to negative by Standard & Poor's.


Read more at Bloomberg Bonds News

ICICI Hires 10 Arrangers for Yen Loan in Biggest Borrowing by Indian Bank

(Bloomberg) -- ICICI Bank Ltd. hired Goldman Sachs
Group Inc. and Calyon among 10 firms to arrange the biggest
borrowing by an Indian bank.

ICICI, India's largest lender to consumers, is seeking a
yen-denominated loan equivalent to $1.5 billion, said Calyon, the
investment-banking unit of Credit Agricole SA, in an e-mailed
statement today. HSBC Holdings Plc and Natexis Banques Populaires
are also among the arrangers that will invite other banks to join
the financing, according to the statement.


Read more at Bloomberg Bonds News

Platinum Futures Fall in Tokyo on Rising Yen, Concern That Demand May Slow

(Bloomberg) -- Platinum futures fell in Tokyo as a
rising Japanese currency reduced the appeal of buying yen-
denominated contracts for the dollar-priced metal, and as
a slump in world stocks raised concern that demand may drop.

The yen rose to 117.19 to the dollar, the highest since
March 29, on signs losses related to U.S. subprime mortgages are
starting to slow growth of the world's largest economy. Asian
stocks fell after the Standard & Poor's 500 Index had its biggest
three-week decline since 2003.


Read more at Bloomberg Commodities News

ICI, Sainsbury, Morgan Sindall, Standard Life: U.K., Irish Stock Preview

(Bloomberg) -- The following stocks may rise or fall
in U.K. and Irish markets today. Stock symbols are in parentheses
and prices are from yesterday's market close.

The benchmark FTSE 100 Index lost 76.00, or 1.2 percent, to
6224.30. The FTSE All-Share Index declined 34.49, or 1.1 percent,
to 3223.84.


Read more at Bloomberg Stocks News

UPDATE 1-Delphi, second biggest union reach tentative deal

(Reuters) - Union members will vote by mail on the tentative contract,
with the results expected by mid August, the International
Union of Electrical Workers-Communications Workers of America
said in a statement.




Delphi, which filed for bankruptcy in October 2005,
previously reached agreement with its biggest union, the United
Auto workers. Delphi has said it hopes to file a reorganization
plan in the third quarter and exit bankruptcy by the end of
2007.


Read more at Reuters.com Bonds News

Australia, New Zealand Dollars Decline as Carry Trades Cut on Stock Slide

(Bloomberg) -- The Australian and New Zealand
dollars fell a second day against the yen as global stocks slid
on concern U.S. mortgage losses will worsen, deterring investors
from buying higher-yielding assets funded by loans in Japan.

New Zealand's dollar has weakened 7.5 percent versus the
yen in the past month, the most among the 16 most-active
currencies, and Australia's retreated 4.8 percent, as traders
pared positions in so-called carry trades. Asian shares declined
today after The Standard & Poor's 500 Index fell the most in
five months in New York on Aug. 3.


Read more at Bloomberg Currencies News

Saudi Aramco Releases Crude Oil Prices for Asia for Export in September

(Bloomberg) -- Saudi Aramco, the world's
largest oil company, released the prices for its crude oil
for export to Asia in September, said Asian refinery
officials who received a notice from the company.

The following table gives the differentials in
relation to benchmark prices, the month-on-month change and
the degrees of gravity as defined by the American Petroleum
Institute.


Read more at Bloomberg Energy News

Banks in Australia Have Minimal Exposure to U.S. Subprime Debt, S&P Says

(Bloomberg) -- Australian banks have ``minimal''
exposure to U.S. subprime loans, according to Standard & Poor's,
which has cut its ratings on more than $2 billion of securities
linked to the troubled mortgages.

``In almost all cases their exposure to these instruments is
either minimal or manageable,'' S&P said in an e-mailed statement
today.


Read more at Bloomberg Bonds News

Taiwan Government Bonds Climb as Stock Losses Spur Demand; Currency Falls

(Bloomberg) -- Taiwan's 10-year government bonds
advanced on speculation a decline in stocks prompted investors to
seek the safety of debt's fixed income. The currency weakened.

Yields, which move inversely to prices, were the lowest in
three weeks on concern defaults on U.S. subprime mortgages are
spreading to the broader economy. Regional equity markets fell,
with the island's Taiex index of shares dropping as much as 2.1
percent.


Read more at Bloomberg Bonds News

Japan Shares Drop on U.S. Economy Concern, Strong Yen; Toyota Profit Gains

(Bloomberg) -- Japanese stocks declined, paced by
exporters, on fear losses in the U.S. mortgage market may slow
the world's biggest economy and after the yen strengthened to a
four-month high against the dollar.

Banks including Mizuho Financial Group Inc. and brokerages
such as Nomura Holdings Inc. fell on worry the subprime problem
will erode their profits.


Read more at Bloomberg Stocks News

Markets drop as worries grow

(Reuters) - "The outlook for today does not look good. On top of the worries about the exposure of funds to credit markets, now we've worries about weak U.S. economic data," said Choo Hee-yeop, deputy general manager of asset management strategy at Korea Investment and Securities.




At 0025 GMT, Tokyo's Nikkei average had slid 1.6 percent with exporters such as Canon Inc., electronics components maker Kyocera and chip-tester maker Advantest Corp. further hit by a firmer yen.


Read more at Reuters.com Hot Stocks News

Samsung shares pare losses following outage

(Reuters) - Samsung's Kiheung sprawling complex was hit by a power shortage on Friday afternoon that shut down six of its chip production lines, raising the prospect of price increases and boosting shares of rival memory chip makers.




Some analysts on Friday said the incident could wipe out as much as a month's worth of Samsung's total output of NAND flash memory chips, but the firm later said damage from the accident would be smaller than expected.


Read more at Reuters.com Hot Stocks News

Korean Won Declines to Near the Lowest in a Month as Investors Reduce Risk

(Bloomberg) -- The South Korean won fell, approaching
the lowest in more than a month, on speculation investors are
cutting investments in Asia as signs mount that the U.S. economy
is slowing.

Korea's currency and the benchmark stock index extended two
weeks of losses as reports Aug. 3 showed U.S. employers added
fewer jobs in July and service industries growth slowed. The Bank
of Korea the same day said it will restrict companies from
borrowing in foreign currencies to stem gains in the won that
threaten exporter's profits.


Read more at Bloomberg Currencies News

Japan's Government Bonds Advance on Speculation Investors Will Shun Risk

(Bloomberg) -- Japan's 10-year bond gained, pushing
yields to the lowest in more than two months, on speculation
increasing risk aversion spurred demand for government debt.

Corporate bond risk rose in Japan, approaching the highest
in more than three years. The nation's five-year notes completed
on Aug. 3 their longest series of weekly advances since May 2005
as losses linked to U.S. subprime mortgages caused assets such
as emerging-market bonds and stocks to extend declines.


Read more at Bloomberg Bonds News

South Korea's Kospi Index Falls, Led by Samsung, Posco and Kookmin Bank

(Bloomberg) -- South Korea's benchmark stock index,
the Kospi Index, fell 2.41 percent at 9:05 a.m.

The index of 733 companies traded on the Korea Exchange
fell 45.19 to 1,831.61. Among the stocks in the index, 88 rose,
566 fell and 79 were unchanged.


Read more at Bloomberg Stocks News

Philippines, Singapore, Sri Lanka, South Korea: Asian Local Bond Preview

(Bloomberg) -- The following events and economic
reports may influence trading in Asian local-currency bonds
today. Yields are from the previous session.

China: The nation should steadily work toward yuan
convertibility, China Money magazine reported Aug. 3, citing
Wang Yungui, deputy director general of the Balance of Payment
Department at the currency regulator. China should improve the
system of foreign-exchange settlements and increase the currency
market's demand and supply, Wang said according the magazine.
China Development Bank plans to sell 20 billion yuan ($2.64
billion) of fixed-rate seven-year bonds this week.


Read more at Bloomberg Bonds News

Shareholders to rule on Fortis's ABN purchase plan

(Reuters) - The Fortis shareholder meeting is the latest hurdle for the
consortium, albeit one Fortis is expected to clear.




Fortis shares have fallen almost 18 percent since it
announced its involvement and a plan to finance its 24 billion
euro share of the deal with Europe's second largest ever rights
issue.


Read more at Reuters.com Mergers News

Dollar Falls to Four-Month Low Against Yen on Concerns About U.S. Growth

(Bloomberg) -- The dollar fell to a four-month low
against the yen on signs losses related to subprime mortgages
are starting to slow U.S. economic growth.

The dollar also traded near a record low against the euro
after the yield spread between U.S. and German two-year bonds
narrowed to the least in 2 1/2 years. The Standard & Poor's 500
Index slid the most in five months and two-year Treasury yields
dropped to an 18-month low Aug. 3 as reports on employment and
services suggested housing market weakness is causing economic
growth to slow.


Read more at Bloomberg Currencies News

Fed's Bernanke May Alter Rhetoric, Not Interest Rates After Market Turmoil

(Bloomberg) -- Federal Reserve Chairman Ben S.
Bernanke may respond to the latest squall in financial markets
the same way he did when turbulence hit four months ago: with a
change in words rather than policy.

Bernanke and his colleagues may suggest after their
meeting tomorrow that the risks to economic growth have
increased following the rout in stock and credit markets -- just
as they did after their March meeting.


Read more at Bloomberg Currencies News

Vattenfall Prolongs Maintenance Shutdown by Six Days at Forsmark Reactor

(Bloomberg) -- Vattenfall AB, the Nordic region's
biggest utility, said its Forsmark B2 nuclear reactor will be
shut down for maintenance work six days longer than previously
reported.

The reactor, with a maximum capacity of 1,000 megawatts,
will be off until Aug. 23 instead of Aug. 17, Forsmark Kraftgrupp
AB said today in a statement distributed by the Nord Pool ASA
power exchange. The Forsmark nuclear plant is located on Sweden's
east coast, north of Stockholm.


Read more at Bloomberg Energy News

UPDATE 1-Bear Stearns says president Spector has resigned

(Reuters) - The resignation follows Bear Stearns' assertion on Friday
that it is weathering the worst storm in financial markets in
more than 20 years after a major rating company warned mortgage
credit problems could hurt the investment bank's profits.




In a statement, Bear Stearns said that, effective
immediately, Alan Schwartz has been named the company's sole
president, and Samuel Molinaro will become chief operating
officer in addition to chief financial officer.


Read more at Reuters.com Mergers News

Putin Favors Ruble Traders Over Oil Profits in Battle Against Inflation

(Bloomberg) -- Russian President Vladimir Putin's
plan to keep inflation from accelerating depends on favoring
foreign-exchange traders over the country's oil and gas
companies.

Putin will probably allow the central bank to double the
ruble's pace of appreciation this year because he has few options
outside the foreign exchange market to rein in consumer prices,
according to strategists at Bank of America Corp. and UBS AG.
Russia's 8.5 percent inflation rate is three times faster than
any other Group of Eight country.


Read more at Bloomberg Emerging Markets News

Netflix shares poised to rally: Barron's

(Reuters) - "At some point, Blockbuster will cry uncle and raise prices, and Netflix shares will almost certainly rally," said Barron's in its technology column.




Netflix might also be an acquisition target, notably by Amazon.com , said Barron's.


Read more at Reuters.com Hot Stocks News

ABN, RBS consortium say to continue takeover talks

(Reuters) - "ABN AMRO and the consortium have agreed to continue the constructive dialogue to resolve any outstanding questions regarding the offer of the consortium for ABN AMRO, and to maintain a level playing field," ABN and the RBS-led consortium said in a joint statement.




RBS , together with its partners Belgian-Dutch Fortis and Spain's Santander , is battling against Barclays to buy ABN in what would be the biggest ever bank takeover. Barclays' offer is worth about 65 billion euros.


Read more at Reuters.com Business News

Qatar bank's $6.1 billion Ahli United bid stalls

(Reuters) - International Bank, an affiliate of National Bank of Kuwait , said shareholders were insisting that a third party and not the Qatari firm have access to the books of Bahrain's biggest lender, and that due diligence be limited to one month rather than three.




"IBQ confirmed that they have been in discussions with certain shareholders of AUB but these discussions have stalled," International Bank said in a statement.


Read more at Reuters.com Business News

Jones says Fast Retailing tops Dubai bid for Barneys

(Reuters) - Jones Apparel said in a statement released in New York that
it intended to accept the Fast Retailing offer unless Istithmar
matched it within two business days of Aug. 6.




Read more at Reuters.com Mergers News

Qatar bank's $6.1 Ahli United takeover bid stalls

(Reuters) - International Bank, an affiliate of National Bank of Kuwait , said shareholders were insisting that a third party and not the Qatari firm have access to the books of Bahrain's biggest lender, and that due diligence be limited to one month rather than three.




"IBQ confirmed that they have been in discussions with certain shareholders of AUB but these discussions have stalled," International Bank said in a statement.


Read more at Reuters.com Business News

Dubai matches Fast Retailing's $900 mln Barneys bid

(Reuters) - Istithmar, owned by the government of Dubai, had agreed to buy the luxury retailer for $825 million before Fast Retailing entered the fray with a $900 million offer.




On August 1, Jones gave Istithmar three days to sweeten its bid.


Read more at Reuters.com Mergers News

Dubai's Istithmar raises Barneys bid to $900 mln

(Reuters) - "If this offer is not accepted, Istithmar is entitled to our break-up fee of $22.7 million," Istithmar said in a statement.




Read more at Reuters.com Business News